XYZ Ltd, a manufacturing company, having an extensive marketing network throughout the country, sells its products through four zonal offi ces, viz. A, B, C and D. The budgeted expenditure for the year is given below:

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Rs. Sales manager's salary Expenses relating to sales 1,20,000 80,000 manager's office Travelling salesmen's salaries 3,20,000 Travelling expenses 36,000 Advertisements 30,000 Godown Rent: Zone A - Rs. 15,000 Zone B Rs. 25,200 Zone C Rs. 9,800 Zone D Rs. 18,000 68,000 Insurance on inventories 20,000 Commission on sales at 5% on sales 6,00,000